Client, Enterprise

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CUSTOMER COMPETITIVE INTELLIGENCE
S
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IX
IGMA
FOR SYSTEMS INNOVATION DESIGN
DEPARTMENT OF STATISTICS
REDGEMAN_at_UIDAHO.EDU
OFFICE 1-208-885-4410
DR. RICK EDGEMAN, PROFESSOR CHAIR SIX SIGMA
BLACK BELT
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IX
IGMA
Introduction to Six Sigma
DEPARTMENT OF STATISTICS
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IGMA
a highly structured strategy for acquiring,
assessing, and applying customer, competitor, and
enterprise intelligence for the purposes of
product, system or enterprise innovation and
design.
DEPARTMENT OF STATISTICS
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Often, problems are knots with many strands,
and looking at those strands can make a problem
seem different. Mr. Rogers
5
a highly structured strategy for acquiring,
assessing, and applying customer, competitor, and
enterprise intelligence for the purposes of
product, system or enterprise innovation and
design.Innovation AlgorithmDMAIC
(Define-Measure-Analyze-Improve-Control)Design
for Six Sigma AlgorithmDMADV (Define-Measure-Anal
yze-Design-Verify)Makes Integrative Use
OfVarious strategies and tools from Statistics,
Quality, Business, Engineering and ???
is
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Six Sigma Organizations

• GE All 300,000 GE employees must be Six Sigma
  certified. All new GE products developed using
  the Design for Six Sigma (DFSS) approach.
• 3M New CEO (from GE) requires all 3M employees
  to become Six Sigma certified.
• Dupont
• AlliedSignal
• Sun Microsystems
• Raytheon
• Motorola
• Boeing
• Lockheed-Martin
• Bank-of-America
• American Express
• HSBC
• SAS Institute

• Rapidly Increasing Areas of Application.
• Healthcare GE Heathcare - SLC
• Financial,
• Military NSWC, Pentagon, etc.
• Fueled by
• Strategic Contexts.
• Notorious bottom-line orientation results.
• Adaptable to multiple bottom lines.
• Process orientation rigorous and systematic
  approaches to innovation and design.
• Focus on the customer.
• Successful track record elsewhere.
• Industry Buzz.

While Six Sigma is new at, for example, 3M its
benefits at others of these organizations is
measured in the multi-billions of US dollars.
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Quality is a state in which value entitlement is
realized for the customer and provider in every
aspect of the business relationship. Business
Quality is highest when the costs are at the
absolute lowest for both the producer
consumer. Six Sigma provides maximum value to
companies in the forms of increased profits and
maximum value to consumers with high-quality
products and services at the lowest possible cost.
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Why is Six Sigma Important?
Cost of Poorly Performing Processes
s level DPMO
CP3 2 308,537 Not Applicable 3 66,807
25-40 of sales 4 6,210 15-25 of
sales 5 233 5-15 of sales 6 3.4 lt 1 of
sales Each sigma shift provides a 10 net income
improvement
The Villain
Sigma (s) is a measure of perfection relating
to process performance capability the bigger
the better. A process operating at a Six Sigma
level produces only 3.4 defects per million
opportunities (DPMO) for a defect. Without
dedication of significant and appropriate
attention to a process, most processes in leading
companies operate at a level between 3 and 4
sigma.
Cost of Poorly Performing Processes (CP3)
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Cost of Poorly Performing Processes

• The cost to deliver a quality product can account
  for as much as 40 of the sales price.
• For example, a laser jet printer purchased for
  1,000 may have cost the manufacturer 400 in
  rework just to make sure that you took home an
  average-quality product.
• For a company whose annual revenues are 100
  million and whose operating income is 10
  million, the cost of quality is roughly 25 of
  the operating revenue, or 25 million.
• If this same company could reduce its cost of
  achieving quality by 20, it would increase its
  operating revenue by 5 million or 50 of the
  current operating income.

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What Does Six Sigma Tell Us?
and the Hero

• We dont know what we dont know.
• We cant do what we dont know.
• We wont know until we measure.
• We dont measure what we dont value.
• We dont value what we dont measure.
• Typical Results companies that properly
  implement Six Sigma have seen profit margins grow
  20 year after year for each sigma shift (up to
  about 4.8s to 5.0s. Since most companies start
  at about 3s, virtually each employee trained in
  Six Sigma will return on average 230,000 per
  project to the bottom line until the company
  reaches 4.7s. After that, the cost savings are
  not as dramatic.
• However, improved profit margins allow companies
  to create products services with added features
  and functions that result in greater market share.

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• Six Sigma Affects Six Areas Fundamental to
  Improving a Companys Value
• Process Improvement
• Product Service Improvement
• Investor Relations
• Design Methodology
• Supplier Improvement
• Training Recruitment

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Six Sigma vs. TQM
TQM Terminology Six Sigma Improvement Terminology
Identify the Project Establish the Cause Define
Diagnose the Cause Measure Analyze
Remedy the Cause Improve
Hold the Gains Control
Replicate Results Nominate New Projects Replicate
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Values of Six Sigma Organizations
Issue Classical Focus Six Sigma
Focus Analytical Perspective point
estimate variability Management cost
time quality time Manufacturability trial
error robust design Variable Search
one-factor-at-a-time design of
experiments Process Adjustment tweaking process
control charts Problems fixing preventio
n Problem solving expert based system
based Analysis experience data Focus
product process Behavior reactive proac
tive Suppliers cost relative
capability Reasoning experience
based statistically based Outlook
short-term long-term Decision Making
intuition probability Approach symptomatic pro
blematic Design performance producibilit
y
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Values of Six Sigma Organizations
Issue Classical Focus Six Sigma
Focus Aim company customer Organization
authority learning Training luxury ne
cessity Chain-of-command hierarchy empowered
teams Direction seat-of-the-pants benchmarking/
metrics Goal setting realistic perception reach
out stretch People cost asset Control
centralized localized Improvement
automation optimization
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The SIPOC Model
Process Steps
Inputs
Outputs
Suppliers
Customers
Inform Loop
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Six Sigma COPIS Model
Process Steps
Outputs
Inputs
Suppliers
Customers
How does Six Sigma Work?
The Voice of the Customer (VOC) is aggressively
sought and rigorously evaluated and used to
determine needed outputs and hence the optimal
process configuration needed to yield those
outputs and their necessary inputs for which the
best suppliers are identified and allied
with. From Concept to Market the Voice of the
Customer
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Voice of the Customer
Improve
Analyze
Measure
Define
Control
Institutionalization
The DMAIC Model
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Kano Customer Need Model
Dissatisfiers Those needs that are EXPECTED in a product or service. These are generally not stated by customers but are assumed as given. If they are not present, the customer is dissatisfied.
Satisfiers Needs that customers SAY THEY WANT. Fulfilling these needs creates satisfaction.
Exciters / Delighters New or Innovative features that customers do not expect. The presence of such unexpected features leads to high perceptions of quality.
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Kano Customer Need Model
Delighted
Degree of Execution
TIME
Fully Implemented
Absent
Disgusted
Stakeholder Satisfaction
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Dimensions of Quality- Garvins Eight

• Quality is usually a bundle of characteristics
• We need to disaggregate this composite notion
• This decomposition will help us to
• make our notion of quality more precise
• make comparisons possible
• facilitate measurement
• Only the customer determines the relative
  importance of these dimensions

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Garvins Eight Dimensions

• Performance
• Features
• Conformance
• Aesthetics

• Reliability
• Durability
• Serviceability
• Perceived Quality

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What the Terms Mean (1)

• PERFORMANCE
• Primary operating characteristics of a product
• FEATURES
• bells whistles
• secondary characteristics that supplement the
  basic functioning
• CONFORMANCE
• degree to which product meets pre-established
  standards (meeting specs)

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What the Terms Mean (2)

• RELIABILITY
• Probability of product remaining functional over
  a specified period of time
• DURABILITY
• amount of use one gets out of a product before
  it physically deteriorates
• SERVICEABILITY
• speed and ease of repairs (or resolution of
  problems)

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What the Terms Mean (3)

• ASTHETICS
• look, feel, and sound of a product
• reflects individual preferences
• PERCEIVED QUALITY
• perceptions of quality based on other cues and
  indirect measures
• reputation or affiliation often key

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Competing on Quality

• It is not often feasible to pursue all 8
  dimensions
• Trade-offs are necessary
• Quality niches can be defined and defended
• A firm can define what quality means for its
  product
• Must focus on the right quality measure those
  one(s) that matter to the consumer

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Dimensions of Service Quality

• RELIABILITY consistency, error-free
  dependability
• RESPONSIVENESS willingness to help the customer
• TANGIBLES environment for the service presented
• COMPETENCE the right skills and knowledge
  required

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Service Quality (cont.)

• COURTESY suppliers behavior
• SECURITY freedom from danger or risk
• ACCESS ease of making contact
• COMMUNICATION understandable to the customer
• EMPATHY adopting the customers viewpoint

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Aggregation

• Often need to reduce the number of dimensions.
  Reduced list is
• Reliability
• Responsiveness
• Empathy
• Tangibles
• Assurance

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Six Sigma Road Map R DMAIC
SI Breakthrough
Stage Strategy Phase Objective
Identification Recognize Identify Key
Business Define Issues
Characterization Measure Understand
Current Analyze Performance Levels
Optimization Improve Achieve
Breakthrough Control Improvement
Institutionalization Standardize Transform
How Day-to Integrate Day Business is
Conducted
Black Belt Projects
Breakthrough Strategy
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Define
Six Sigma How Do We Innovate?
Define the problem and customer requirements. Mea
sure defect rates and document the process in
its current incarnation. Analyze process data
and determine the capability of the
process. Improve the process and remove defect
causes. Control process performance and ensure
that defects do not recur.
Control
Measure
Improve
Analyze
Common sense doesnt mean commonly done or
when done, done well.
Six Sigma Innovation the DMAIC Algorithm
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Six Sigma from the GE Perspective Six Sigma is a
highly disciplined process that helps a company
focus on developing and delivering near-perfect
products and services. Why sigma? The word is
a statistical term that measures how far a given
process deviates from perfection. The central
idea behind Six Sigma is that if you can measure
how many defects you have in a process, you can
systematically determine how to eliminate those
and approach zero defects. Six Sigma has
changed the DNA at GE it is the way that GE
works in Everything that GE does and in every
product GE designs. What is Six Sigma? The
Roadmap to Customer Improvement www.ge.com/sixsig
ma/makingcustomers.html
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Design for Six Sigma Applications of Six Sigma
that focus on the design or significant redesign
of products and services and their enabling
processes so that from the beginning customer
needs and expectations are fulfilled are known as
Design for Six Sigma or DFSS. The focal aim of
DFSS is to create designs that are resource
efficient, capable of exceptionally high yields,
and are robust to process variations. This aim
leads to the DFSS algorithm Define-Measure-Analyz
e-Design-Verify (DMADV).
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Define
Six Sigma How Do We Design?
Define customer requirements and goals for the
process, product or service. Measure and match
performance to customer requirements. Analyze
and assess the design for the process, product
or service. Design and implement the array of
new processes required for the new process,
product or service. Verify results and maintain
performance.
Measure
Verify
Design
Analyze
All new products at GE are designed using a DFSS
algorithm.
Design for Six Sigma (DFSS)
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Design for Six Sigma at GE DFSS is changing GE.
With it GE can build on all of its capabilities
and take all of its product and process designs
to a new level of world-class performance and
quality. The essence of DFSS is predicting
design quality up front and driving
quality measurement and predictability
improvement during the early design phases- a
much more effective and less expensive way to get
to Six Sigma quality than trying to fix problems
further down the road. What We Do. GE Corporate
Research and Development Formerly posted at
www.crd.ge.com/whatwedo/sixsigma.html
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• Another View of Design for Six Sigma
• DFSS is the change in the product design
  organization from a deterministic to a
• probabilistic culture. Our people were trained to
  incorporate statistical analysis of
• failure modes, both in products and processes.
  They began to incorporate design
• changes that modify eliminate design features
  with a probability of failure within a
• predefined range of operating environments and
  conditions. The design organization
• changed from a factor-of-safety mentality to
  one in which there was a quantitative
• assessment of design risk. Four elements of
  design are most critical to the effort
• Design for producibility (design for
  manufacturing and assembly)
• Design for Reliability
• Design for Performance (technical requirements)
  and
• Design for Maintainability.
• Design for Six Sigma 15 Lessons Learned,
• Quality Progress, Vol. 35, No. 1, pp. 33-42,
  January 2002.

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• Improvement Innovation Focuses on high
  priority problems in business processes. This
  uses the DMAIC methodology Define, Measure,
  Analyze, Improve, and Control.
• DesignDesign For Six Sigma (DFSS) addresses new
  or fundamentally poor processes. The methodology
  is called the DMADV or DMADOV model Define,
  Measure, Analyze, Design, Optimize, and Verify.
• Business Process Management aids in definition
  and management of operations and activities in
  terms of core and enabling processes. The
  resulting process management systems provide a
  foundation of process definition and baseline
  data for all process design and improvement
  activities.

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Six Sigma Strategy Methods
Appendix 1 Corporate Leadership
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Six Sigma and General Electric

• General Electric CEO, Jack Welch, describes Six
  Sigma as the most important initiative GE has
  ever undertaken. GEs operating income, a
  critical measure of business efficiency and
  profitability, hovered around 10 for decades. In
  1995 Welch mandated that each GE operation from
  credit card services to aircraft engine plants to
  NBC-TV work toward achieving Six Sigma. GE was
  averaging about 3.5? when it introduced the
  program.
• With Six Sigma embedding itself deeper into GEs
  processes, they achieved the previously
  impossible operating margin of 16.7 in 1998
  up from 13.6 in 1995.
• In dollar amounts, Six Sigma delivered more than
  300 million to GEs 1997 operating income and
  more than 600 million in 1998.

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Six Sigma and Raytheon

• Former AlliedSignal executive Daniel P. Burnham,
  who became Raytheons CEO in 1998, has made Six
  Sigma a cornerstone of the companys strategic
  plan.
• By pursuing Six Sigma quality levels throughout
  the company, Burnham expects Raytheon to improve
  its cost of doing business by more than 1
  billion annually by 2001.

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Six Sigma and the Service Sector Robert Galvin
Former Motorola CEO

• Failing to implement Six Sigma in commercial
  areas with the same force that the company
  implemented it in its industrial sectors cost
  Motorola 5 billion over a four-year period.

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How Big is the Service Sector?

• 79 of the U.S. Workforce is employed by
  commercial businesses.
• 90 of those employed in manufacturing are
  actually doing service work such as finance,
  marketing, sales, distribution and purchasing.
• So 79 (.9)(21) 98 of the U.S. Workforce
  is involved in service work.
• MISTAKEN BELIEFS
• Some companies still believe that improving
  commercial processes is less important than
  improving industrial processes or that seemingly
  intangible commercial processes cant be
  controlled.
• BOTH ARE WRONG
• Customers are more likely to take their business
  elsewhere because of poor service than poor
  products.
• Companies like GE have shown that improving
  internal and external commercial processes adds
  to the bottom line and to customer satisfaction
  significantly

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AlliedSignal

• 70,000 Employees
• Chemicals, Fibers, Plastics, Aerospace Products,
  Automotive Products.
• Larry Bossidy came from GE to become CEO in 1991
• Market Value 4 billion in 1991
• Market Value 29 billion by the end of 1998
• Market Value 38 billion by 2000.

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AlliedSignal

• TODAYS GOALS
• 6 productivity increase
• Reduced Inventory
• Full-Capacity Utilization
• Little or no Overtime
• Reliable Products
• 5s Manufacturing
• 5s Designs
• Predictable Cash Flow
• 5s Suppliers

• BY END OF 1998
• Total Impact of Six Sigma Within AlliedSignal
  Reached 2 Billion.
• Six Sigma Profits in Service Areas including
• Order Processing
• Shipping
• Procurement
• Product Innovation

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We cant tell other organizations how to do Six
Sigma, but we can tell them how not to do it.
Allied has made mistakes along the way and, in
the process, learned some tremendous lessons.

• Lesson 1 The Organizations Leadership Must Own
  Six Sigma
• Upper management supported Six Sigma, managers
  below those at the top saw it as a flavor of the
  month.
• Black Belts seen as a nuisance.
• Black Belts were using Six Sigma jargon while
  managers were using business vocabulary. This led
  to confusion.
• SOLUTION Introduce ALL levels of management to
  Six Sigma.
• Management had weeklong training sessions to
  understand the methods of the Breakthrough
  Strategy and how Black Belt training and
  experience could be leveraged. ALSO how various
  initiatives fit together.
• BEGAN TO FOCUS ON PROCESSES NOT PEOPLE as the
  source of problems. Also, understanding of the
  Breakthrough Strategy provided a plan of
  action, rather than just a command to make
  something happen.

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Six Sigma Changed the Company Culture and

• One of the flaws at Allied is that we had too
  much vertical mobility. Managers inch up the same
  smokestack, learning more and more about less and
  less. But companies that train promising
  individuals as Black Belts circumvent the
  vertical flow and move people around
  horizontally, having them serve time in as many
  major businesses or divisions as possible to give
  them a kaleidoscopic view of the organization and
  the benefit of being mentored by a variety of new
  blood.

Linked AlliedSignals Goals, Vision Activities.
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Lesson Two A Beginning Without an End

• Having recognized the need to train managers in
  the Six Sigma Breakthrough Strategy, Allied
  dedicated the next year to training 1,000 leaders
  in the organization in how Six Sigma worked, and
  in its potential financial impact.
• Training sessions lasted 3.5 days and emphasized
  Six Sigmas impact on
• Profitability through improved processes
• The Crucial role of Black Belts, RATHER THAN
  teaching statistical processes involved in
  achieving Six Sigma.
• Initially trained top managers at each of
  Allieds 11 Strategic Business Units and
  gradually worked their way down the organization
  to middle management, line supervisors, and so
  on.
• COMPLAINTS FROM BLACK BELTS WITHIN SIX MONTHS
  Management turnover and too much promotion of
  Black Belts into management before benefit from
  the training and skills could be realized. SO
  training had to be ongoing.

Allied is not in the business of measuring
activity. We are in the business of measuring
results. IF something doesnt have a positive
impact on customer satisfaction, our
shareholders, and employees, and in the process
makes a lots of money, THEN we just flat out
arent going to do it. RICHARD A. JOHNSON,
Director of Six Sigma at AlliedSignal
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Lesson Three Black Belt Retention

• AlliedSignals goal send Black Belts with a
  minimum of 18-24 months experience mastering the
  Breakthrough Strategy back into the organization
  to create Six Sigma behavior thinking.
• 40 of Black Belts were promoted to departmental
  or plant managers. Others left AlliedSignal for
  higher-paying jobs at suppliers. Others completed
  only one or two projects before they were pulled
  back into their previous assignments with
  leadership not properly reviewing projects and
  properly acting upon financial opportunities
  created by Black Belts so that managers felt that
  Six Sigma wasnt particularly important.
• 50 of Black Belts were absorbed back into the
  organization within six months.
• NOW BLACK BELTS must work at least 18-24 months
  on a series of Six Sigma projects prior to a
  change of roles. TIME EXPERIENCE ARE VIEWED AS
  CRITICAL TO SIX SIGMA SUCCESS AND THE MATURITY OF
  THE BLACK BELT.

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Lesson Three - Continued

• AlliedSignals Champions Master Black Belts
• 3.5 Day Executive Overview followed by the
  traditional Four-Month Black Belt training
  process.
• MASTER BLACK BELTS are selected from the best of
  the Black Belts.
• Each of these trains and mentors 10 Black Belts
• Each Black Belt trains and mentors 10 Green
  Belts.
• NOW All Salaried Employees are Expected to
  Undergo the 26 Hours of Training Required for
  Green Belt Certification by 2000.
• CHAMPIONS 20
• Master Black Belts 70
• Black Belts 2000
• Green Belts 18,000
• Total of Employees 70,000

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Lesson Four Supplier Capability is Critical to
the Success of the Breakthrough Strategy

• The Majority of AlliedSignals Suppliers were
  operating at about three sigma.
• This prevented the company from realizing the
  full benefits of Six Sigma.
• AlliedSignal recognized that they needed to view
  suppliers as their partners.
• AlliedSignal began TRAINING its suppliers and
  offering other technical assistance.
• To achieve Six Sigma it is important to minimize
  the number of suppliers, limiting these to those
  that have been trained in the Breakthrough
  Strategy.
• Not only does AlliedSignal provide training, BUT
  then follows up by dedicating ITS OWN BLACK BELTS
  to mentor and work with critical suppliers.
  AlliedSignal estimates that for every 300 Black
  Belts it trains, 100 are either customers or
  suppliers.

W. Edwards Deming End the Practice of Awarding
Business on Price Tag Alone.
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Lesson FiveThere is No Such Thing as Operator
Error

• It is PROCESSES not PEOPLE that Fail.
• This maps to one of Demings 14 Points for
  Management DRIVE OUT FEAR.
• Focus on Processes implies that people are not
  accused, but rather, that they are able to
  investigate processes and be part of the
  solution.

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Lesson SixFocus on Bottom-Line Improvement

• The number one source of failure in deploying Six
  Sigma is the result of Lack of Commitment FROM
  THE Organizations Leadership.
• The Finance Department must be involved so that
  the impact of Six Sigma Projects on the
  Bottom-Line is apparent.
• Black Belts, the Finance Department, and
  Executive Leadership must work in tandem.
• While Black Belts create opportunities for cost
  reduction and increased profitability, the
  companys Leadership must make sure that Black
  Belts focus on the right projects and take action
  on the savings opportunities they generate.
  Finance provides closure to the effort by
  ensuring that the savings are returned to the
  organizations bottom line.

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Lesson Seven Initiative Overload

• LARRY BOSSIDY, CEO One of the things I
  have trouble with is non-financial objectives.
  Often theyre just as obscure and vacuous as they
  sound.
• FIVE ACTIONS TO PERPETUATE SIX SIGMA
• TRAINING Allieds employee base changes enough
  every nine to ten months that maintenance of Six
  Sigma culture requires that new employees be
  trained in the Breakthrough Strategy.
• Senior management involvement.
• Continued on-site leadership training, and
  alignment of goals among divisions to reinforce
  Breakthrough Strategy thinking and goals.
• Requiring Black Belts to dedicate a minimum of
  two years to working on Six Sigma projects.
• Supplier involvement and improvement in Six Sigma
  initiatives.

Products and services should be improved ONLY to
the degree that customer value is increased. Six
Sigma is a program designed to generate money for
the company, either through savings resulting
from reduced costs, or from boosting sales by
increasing customer satisfaction.
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AlliedSignal Hindrances to Six Sigma Success

• Working on too many improvements at the same
  time.
• Not having someone accountable for the problem.
• Not being a process-based company.
• A lack of trained and experienced people.
• Middle managers who fear uncertainty about future
  roles.
• Lack of metrics focused on customer value-added
  processes.
• Lack of integrated information and financial
  systems.
• Fragmented, staff-driven approaches.

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Six Sigma Strategy Methods
Appendix 2 People of Six Sigma
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Six Sigma Champions

• Create the vision of Six Sigma for the company.
• Define the path to implement Six Sigma across the
  organization.
• Develop a comprehensive training plan for
  implementing the Breakthrough Strategy.
• Carefully select high-impact projects.
• Support development of statistical thinking.
• Ask Black Belts many questions to ensure that
  they are properly focused.
• Realize the gains by supporting Six Sigma
  projects through allocation of resources and
  removal of roadblocks.
• Hold the ground by implementing Black Belt
  recommendations.
• Make sure that project opportunities are acted
  upon by the organizations leadership and the
  finance department.
• Recognize people for their efforts.

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Master Black Belts

• Understand the big business picture.
• Partner with the Champions.
• Get certified as Master Black Belts.
• Develop and deliver training to various levels of
  the organization.
• Assist in the identification of projects.
• Coach and support Black Belts in project work.
• Participate in project reviews to offer technical
  expertise.
• Help train and certify Black Belts.
• Take on leadership of major programs.
• Facilitate sharing of best practices across the
  corporation.

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Black Belts

• Act as Breakthrough Strategy experts and be
  Breakthrough Strategy enthusiasts.
• Stimulate Champion thinking.
• Identify the barriers.
• Lead and direct teams in project execution.
• Report progress to appropriate leadership levels.
• Solicit help from Champions when needed.
• Influence without direct authority.
• Determine the most effective tools to apply.
• Prepare a detailed project assessment during the
  Measurement phase.
• Get input from knowledgeable operators,
  first-line supervisors, and team leaders.
• Teach and coach Breakthrough Strategy methods and
  tools.
• Manage project risk.
• Ensure that the results are sustained.

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Green Belts

• Function as Green Belts on a part-time basis,
  while performing their regular duties.
• Participate on Black Belt project teams in the
  context of their existing responsibilities.
• Learn the Six Sigma methodology as it applies to
  a particular project.
• Continue to learn and practice the Six Sigma
  methods and tools after project completion.

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Black Belt Activities

• MENTORS Cultivates a network of Six Sigma
  individuals at the local organization or site.
• TEACH Provides formal training of local
  personnel in new strategies and tools.
• COACH Provides one-on-one support to local
  personnel.
• TRANSFER Passes on new strategies and tools in
  the form of training, workshops, case studies,
  and local symposia.
• DISCOVER Finds application opportunities for Six
  Sigma strategies and tools, both internal and
  external (e.g. suppliers and customers).
• IDENTIFY Highlights / surfaces business
  opportunities through partnerships with other
  organizations.
• INFLUENCE Sells the organization on the use of
  Six Sigma strategies and tools.

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Personal Professional Characteristics of a
Black Belt

• Highly respected by superiors, peers, and
  subordinates.
• Understands the big picture of the business.
• Focuses on results and understands the importance
  of the bottom line.
• Speaks the language of management (money, time,
  organizational dynamics, etc.)
• Committed to doing whatever it takes to excel.
• Sponsored by a vice president, director, or
  business unit manager.
• Is an expert in his or her specific field.
• Possesses excellent communication skills, both
  written and verbal.
• Inspires others to excel.
• Challenges others to be creative.
• Capable of consulting, mentoring, and coaching.
• Drives change by challenging conventional wisdom,
  developing and applying new methodologies, and
  creating innovative strategies.
• Possesses a creative, critical, out-of-the-box
  intellect.
• Allows room for failures and mistakes with a
  recovery plan.

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Personal Professional Characteristics of a
Black Belt

• Accepts responsibility for choices.
• Views criticism as a kick in the caboose that
  moves you a step forward.
• Encourages commitment, dedication, and teamwork.
• Unites and inspires a team to a core purpose.
• Able to communicate all sides of an issue.
• Solicits diverse ideas and viewpoints.
• Empathizes.
• Promotes win-win solutions.
• Disagrees tactfully and does not overreact.
• Acts decisively under pressure.
• Anticipates and confronts problems early and
  corrects causes..
• Effectively identifies priorities from a business
  standpoint.
• Manages limited resources in a highly efficient
  and effective manner.
• Careful not to assign an unrealistic number of
  tasks to any team member.

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Personal and Professional Characteristics of a
Black Belt

• Understands and respects that people have
  limitations.
• Displays a genuine concern and sensitivity toward
  others.
• More concerned about business success than
  personal gain.
• Does not lord her or his expertise over others.
• Recognizes that results count more than fancy
  titles.

• How Many Black Belts Does an Organization Need?
• Revenues/(1 million) Number of Black Belts
• Number of Black Belts/(10) Number of Master
  Black Belts

63
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S
IX
IGMA
End of Session
DEPARTMENT OF STATISTICS
64
S
S
IGMA
IX
Client, Competitive and Enterprise
Intelligence for Product, Process and Systems
Innovation Design
End of Session